The partnership is the first of its kind between GLA Land and Property and a private developer.
As a result, Mount Anvil will speed up the construction of the next 2,000 homes in its pipeline, in addition to expanding its land buying activity, as part of its strategy to provide 10,000 homes in London before the end of the decade.
It is set to deliver 1,400 new homes by the end of March 2025, with at least half of these being genuinely affordable for Londoners.
“In these uncertain times, I am delighted to be able to confirm this new loan facility for Mount Anvil, one of London’s most dynamic property developers,” commented Tom Copley, deputy mayor for housing.
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“It is vital that London emerges from the lockdown with a renewed focus on delivering the social and other genuinely affordable homes our city so desperately needs.
“Funding arrangements such as this will ensure that our private sector partners can accelerate their plans for the next decade and, crucially, increase delivery of much-needed affordable homes.”
He added that he was proud to work with Mount Anvil to pioneer a new clause that it had added around equality and diversity, and will include this on all similar contracts going forward.
The agreement also includes commitments such as never building separate entrances to segregate tenants in social properties from their private neighbours.
“We are ensuring that ‘poor doors’ are confined to history and helping to build a fairer and more equal city for all Londoners,” Tom added.
Marcus Bate, investment director at Mount Anvil, said: “We’re by no means a conventional developer, which is why we’re thrilled to be working with GLA Land and Property on this innovative collaboration.
“The funding provides us with huge capacity to invest in the best available new development sites in London.
“We’re putting all our eggs in the London basket, and will be watching that basket very closely — supporting our exceptional people as they design, plan and build some of the best homes in the capital.
“We’re looking forward to playing our part in supporting London’s bounce back post Covid 19, working in partnership with the GLA, local authorities and our housing association partners to deliver a positive legacy for London.”
The news comes as the mayor’s Covid-19 housing delivery taskforce, chaired by Tom Copley, considers how the sector and the city will emerge from the coronavirus crisis with a renewed focus on housing delivery.